Cyber Crime Prevention

Five steps that can help prevent a data breach or ransomware attack

As cybercriminals continue to increase the frequency and sophistication of their attacks, healthcare providers are becoming more knowledgeable and prepared to defend themselves and their organizations. While cyber liability insurance is one effective means of mitigating risk, there are new tools, processes, and technologies that healthcare providers can employ to protect themselves.

Enforce 2-Factor authentication for secure application access

Implement regular and recurring online data backups

Deploy SPAM filtering and email configuration

Install next-generation proactive, behavior-based anti-virus protection

Conduct periodic, mandatory employee anti-phishing training

What is the real-world cost of a data breach?

*Based on industry research and expert advice, data breach response costs typically range from $10–$30 per record, often more when factoring in damages, fines or penalties, and reputational damage.

Cyber Claim Example:

The insured’s computer system was infected by the SamSam ransom virus, which was one of the most aggressive variants of ransomware at the time. The ransom demand was 1.7 bitcoin per workstation, or 12 bitcoin in total (approximately $76,000 in present-day values).†

A breach coach was assigned, followed by a forensic team. The forensic investigation determined that
there was no evidence of any exfiltration, access, or acquisition of any Personal Health Information. As such, the counsel’s risk assessment concluded that no patient notifications were necessary under HIPAA.

However, the insured claimed a business interruption loss of $533,095 for the six days the office was not fully operational due to the ransomware. We retained a forensic accountant who determined after his analysis that the insured’s actual income loss amounted to $157,199.

Total amounts paid:

• Breach Coach costs: $3,366.00
• Business Interruption: $157,199.00
• IT Forensic costs: $20,312.50
  

†This page provides a general product summary and should not be construed as a guarantee of coverage. Any claim scenarios described in this communication are hypothetical and used solely for the purpose of illustrating how the insurance is intended to apply to certain situations. Whether, or to what extent, the insurance applies to a particular claim or loss depends on the circumstances of the claim or loss and the terms and conditions of the policy, as issued.